HP Government introduces Deemed Assessment for turnover upto 1cr (1)

The Himachal Pradesh Government has introduced ‘deemed assessment’ system for traders with annual  turnover upto Rs 1 crore. Announcing the decision at the meeting of Traders Welfare Board in Shimla, Chief Minister Virbhadra Singh said, that with a view to ensuring hassle free transportation of goods, trucks having full on-line declaration of goods entering the state would now not necessarily be required to stop at the barriers.He also added that the dealers will no longer have to upload different returns under different acts,as the Excise and Taxation Department has started a common log-in ID through which a  dealer would be able to upload all his returns at one place.

Singh also said , currently dhaabas, tea and chat shops which have a turnover of less than Rs 5 lakhs were exempted from the payment of VAT but this limit has been raised to Rs 8 lakh from the current fiscal. Small traders who have a turnover of less than Rs 25 lakhs and are paying taxes to the government will be bought under group accidental insurance cover of Rs 2 lakh and the premium will be paid by the government. Furthermore the VAT on fabricated body of buses and trucks had also been reduced to just 5% now and solar stoves have been exempted from VAT.

The Chief Minister also informed that more than 40 banks have been associated with Cyber Treasury to ease the burden of  a filing tax return adding that from now onwards, there was no need to file a set of hard copy for the annual tax return by the traders.It was also decided to form a departmental committee for deciding of Input Tax Credit (ITC) on purchase of goods and all traders with a turnover  of upto Rs 25 lakh have also been put under the scheme.All these changes by the Government has come as a relief for the traders.